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    AmericanCarbonRegistry

    American Carbon RegistryTrusted solutions for the carbon market

    Anonprofitenterpriseof

    2010 All Rights Reserved

    EmissionReductionMeasurementand

    MonitoringMethodologyforthe

    ConversionofHighBleedPneumaticControllersinOilandNaturalGasSystems

    MethodologydevelopedbyVerdeoGroup,Inc.andDevonEnergyCorporationVersion1.0publishedMarch2010;revisedversion1.1publishedDecember2010

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    Emission Reduction Measurement and Monitoring Methodology for theConversion of High-Bleed Pneumatic Controllers in Oil and Natural Gas Systems

    Page 2

    1.0 BACKGROUND AND APPLICABILITY

    1.1 BackgroundonPneumatic

    Controllersin

    the

    Oil

    and

    Natural

    GasIndustry

    Pneumatic controllers use a pressurized gas,

    typically natural gas for applications in the oil

    and gas production industry, to regulate

    process variables such as pressure, flow rate

    and liquid level. Pneumatically operated

    equipment is used in the oil and gas industry

    because electricity is not readily available at

    remote production sites.

    Most pneumatic instruments and controllers in

    the natural gas industry are powered by natural

    gas, and these controllers are designed to

    discharge methane to the atmosphere as a part

    of normal operations. Pneumatic controllers can

    be designed to bleed at both high and low-

    bleed-rates. Before 1990, all controllers were

    designed with generally high-bleed rates.

    Increasing awareness of the extent of wasted

    resources and potential environmental hazards

    resulting from higher bleed rates led to the

    development and introduction of low-bleed

    pneumatic controllers in the early 1990s.1 It has

    now become standard practice to use low-bleed

    pneumatic controls in new constructionin the oil

    and gas industry. Despite the existence of low-

    bleed technology as well as retrofit solutions

    such as WellMarks Mizer Pilot Valve,

    conversions of existing high-bleed controllers

    1The

    EPA

    defines

    high

    bleed

    controllers

    as

    controllers

    thatbleedinexcessof6cubicfeetperhour,andalow

    bleedpneumaticcontrollerisdefinedasacontrollerthat

    bleedsatarateoflessthan6cubicfeetperhour.

    USEnvironmentalProductionAgency,LessonsLearned

    fromNaturalGasSTARPartners:OptionsforReducing

    MethaneEmissionsfromPneumaticDevicesinthe

    NaturalGasIndustry,EPA430B03004,Washington,

    DC,July2003.

    are uncommon. Numerous sources estimate

    that hundreds of thousands of high-bleedpneumatics still remain in service throughout

    the oil and gas production segment. As a result,

    high-bleed pneumatic controllers are among the

    largest sources of vented methane by

    equipment type in the domestic oil and natural

    gas industry.2

    The objective of this methodology is to provide

    a method for quantifying baseline emissions

    from high-bleed pneumatic devices for the

    purpose of generating tradable GHG emissionreduction offsets to incentivize the development

    of a voluntary, pre-compliance offsets market in

    the U.S., as well as the rapid adoption and

    implementation of a technological solution for

    an important GHG emissions source.

    1.2 Applicability

    This Baseline Monitoring Methodology for the

    Conversion of High-Bleed Pneumatic

    Controllers in Oil and Natural Gas Systems[Pneumatic Conversion Methodology]describes the baseline measurement and post-

    project monitoring procedures for the retrofit or

    replacement of high-bleed pneumatic

    controllers with low-bleed alternatives for the

    purpose of an emission reductions project

    where emission reductions can be registered.

    This methodology is applicable only for the

    conversion of high-bleed pneumatic controllers

    to low-bleed pneumatic controllers, whereoperating conditions and requirements permit

    such conversions. In some operational

    applications e.g., the control of very large

    valves that require fast or precise process

    2InventoryofU.S.GreenhouseGasEmissionsandSinks

    19902006,USEPA,April,2008.

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    changes, high-bleed controllers should not be

    replaced with low-bleed controllers. In these

    cases project proponents should investigate the

    use of new fast-acting devices with lower bleed

    rates.

    This methodology is applicable to continuous

    bleed pneumatic controllers in level, flow rate,

    temperature or pressure control applications.

    Constraints on the applicability of the

    methodology are as follows:

    This methodology is applicable to the

    conversion of both snap-acting and throttle

    acting high-bleed pneumatic controllers to

    low-bleed pneumatic controllers. This methodology is not applicable to

    projects which deal with the conversion of

    high-bleed pneumatic controllers in sectors

    outside of oil and natural gas systems.

    This methodology is only for the conversion

    of existing high-bleed rate pneumatic

    controllers, and is not applicable to newly

    built oil and gas production facilities that are

    installing low-bleed pneumatic controllers.

    Projects using this methodology will have acrediting period of ten (10) years.

    1.3 PeriodicReviewsandRevisions

    The American Carbon Registry (ACR) may

    require revisions to this methodology to ensure

    that monitoring, reporting, and verification

    systems adequately reflect changes in the

    projects activities. An annual attestation and a

    verification statement, which will include

    documentation of the findings of a third party

    verifier applying audit sampling methods,

    should be submitted by the project entity to

    ACR. The ACR will then:

    Review the attestation and verification

    statement and notify the project entity of any

    required adjustments or corrections to these

    documents.

    Register verified emission reductions.

    This methodology may also be periodically

    updated to reflect regulatory changes, emission

    factor revisions, or expanded applicability

    criteria including new models of eligible high-

    bleed controllers or additional oil and gas

    industry segments. Before beginning a project,

    the project proponent should ensure that they

    are using the latest version of the methodology.

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    2.0 BASELINE DETERMINATION

    2.1 Project

    Assessment

    Boundaries

    andEmissionsSources

    The project boundaries will be confined to all

    conversions implemented by a single project

    proponent in a continuous time frame or in

    contiguous phases.

    Because the project implementation, key

    project data collection and storage, calculation

    of the project emissions, and total emission

    reductions will be centrally managed and stored

    by the project proponent, then it is logical thatthe GHG emission reduction project

    assessment boundaries will be the universe of

    conversions undertaken by the project

    proponent. However, due to unique operating

    conditions (i.e. pressure or methane

    concentration) which could affect emission

    rates, certain baseline and project emissions

    will need to be calculated at a basin level in the

    production sector and at a facility or pipeline

    level in the transmission and distributionsectors, as described below.

    Baseline emissions for the project will be

    determined through site-specific sampling. The

    project proponent can establish a manufacturer-

    specific emission factor for its own population of

    pneumatic controllers per Sections 3.1.1 & 4.4

    and Appendix C below.

    Project emission factors will be extrapolated

    from a series of representative sample

    measurements of the converted project

    population. Further information on the

    measurement and calculation of emissions can

    be found in the project and baseline emissions

    calculations as per Sections 3.2 and 4.4 and

    Appendix C below.

    There are no emissions from construction or

    combustion as a part of the pneumatic retrofit

    project. Emissions in the project baseline and

    post-retrofit scenario consist solely of the GHG

    fraction of natural gas emissions from the

    pneumatic controllers. These gases, and their

    status (included or excluded) within the project

    are outlined in Table 2.1.

    Table2.1:BaselineandProjectEmissions

    Gas DescriptionStatus:

    (included, excluded)

    CH4

    Methane is a major constituent of natural gas. Themethane composition of natural gas tends to bebetween 70% and 90%, but varies depending onthe location of the production, transmission or

    distribution facility. The methane fraction of thegas is an important component in the emissionreductions calculation. Facilities will be required topresent information from a gas chromatograph orcomparable test.

    Methane is included as a project andbaseline emission.

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    Gas DescriptionStatus:

    (included, excluded)

    CO2 CO2 constitutes about 5% of most natural gasemissions.

    Excluded. While the retrofit ofcontrollers will result in the reductionof CO2 released bleeding to the

    atmosphere, no credit will be claimedfor this reduction in order to ensurethat the project emission reductionclaims are conservative.

    NMHCs

    Non-methane hydrocarbon components of naturalgas can include ethane, propane, butane,pentane, or any other non-methane gasses (e.g.nitrogen, helium, and hydrogen sulfide) found inthe natural gas.

    Excluded

    In certain applications, controllers may reach

    the end of their useful life during the crediting

    period for the project, such as in cases where a

    controller is worn down more quickly if the

    application uses corrosive gas. To determine if

    any controller included in the project would

    normally have been replaced with alow-bleed

    alternative during the crediting period for a

    reason other than the project activity, the

    project proponent should provide the following

    information:

    The project proponent should describe

    current practice for routine refurbishment of

    controllers and should provide to the verifier

    the standard operating procedure, if any, for

    routine refurbishment of pneumatic

    controllers, including replacement

    specifications published by the controllers

    manufacturer if available.

    Any controllers which would have been so

    replaced during the crediting period should

    be identified, the expected date of suchreplacement should be stated, and no

    emission reductions credited for that

    controller after such date.

    2.2 Baseline

    Description

    The baseline scenario is the continued use of

    high-bleed pneumatic controllers. Project

    entities must demonstrate that the pneumatic

    conversion project is not common practice per

    the Practice-based Performance Standard

    defined below.

    2.3 AdditionalityAssessment

    Emission reductions from the project must be

    additional, or deemed not to occur in the

    business-as-usual scenario. Assessment of the

    additionality of a project will be made based on

    passing the two tests cited below. These two

    tests require the project proponent to

    demonstrate that the project activity is surplus

    to regulations and reduces emissions below the

    level established, through the practice-based

    performance standard as defined below, to

    represent common practice or business-as-

    usual for the retrofit of high-bleed pneumatic

    controllers with low or no-bleed alternatives.

    Project proponents utilizing this methodology

    should consult the latest version of the ACR

    Standard, which may be updated from time to

    time. At the time of the drafting of this

    methodology, the two additionality tests include:

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    1. Regulatory Surplus Test, and

    2. Practice-based Performance Standard

    Further guidance on these tests is given below:

    TEST1:

    Regulatory

    Surplus

    In order to pass the regulatory surplus test, a

    project must not be mandated by existing laws,

    regulations, statutes, legal rulings, or other

    regulatory frameworks in effect now, or as of

    the project start date, that directly or indirectly

    affect the credited GHG emissions associated

    with a project.

    The project proponent must demonstrate that

    there is no existing regulation that mandates

    the project or effectively requires the GHG

    emission reductions associated with the retrofit

    of high-bleed pneumatic controllers with low or

    no-bleed alternatives.

    TEST2:PracticebasedPerformanceStandard

    An assessment of the market penetration of

    high- to low-bleed retrofits, based on national

    and regional market information from various

    government agencies (federal, state, local),

    equipment vendors and trade associations,demonstrates that market conditions have

    resulted in a common practice conversion rate

    for high-bleed pneumatic devices of less than

    10%. Because the conversion of high-bleed

    pneumatic controllers with low-bleed

    alternatives is not common practice in the oil

    and gas industry, retrofit projects using this

    methodology are deemed beyond business as

    usual and therefore additional.

    Projects which meet the eligibility criteria for thismethodology can use the performance standard

    to demonstrate additionality without providing

    additional implementation barrier analysis.

    Projects that are certified under this version of

    the methodology do not need to reassess

    additionality with each verification during their

    10-year crediting period. However, the

    following common practice assessment and the

    applicability of the practice-based performance

    standard will be reassessed periodically after

    significant changes to the market, or, at a

    minimum, every 10 years. Future commonpractice assessments should differentiate

    between retrofits that occurred as emission

    reduction projects and business-as-usual.

    ACR reserves the right to review the common

    practice assessment as necessary to ensure

    additionality of future projects. All GHG Project

    Plans for new projects, and all applications for

    crediting period renewal on existing projects,

    shall apply the regulatory surplus and practice-

    based performance standard tests in the latestapproved revision of this methodology in effect

    at the time of GHG Project Plan submission or

    application for crediting period renewal.

    Common Practice Assessment for Conversion

    of High-Bleed Pneumatic Controllers: Because

    pneumatic controllers are numerous and

    dispersed throughout the oil and gas

    production, gathering, and transmission

    segments, and no organization has undertaken

    a comprehensive inventory, it is impossible tohave a precise estimate of the number of

    pneumatic controllers or their aggregate

    emissions. However, the U.S. EPA, for its

    annual Inventory on Greenhouse Gas

    Emissions and Sinks, routinely performs top-

    down estimations of pneumatic populations and

    emissions using available industry activity data

    and emission factors. Based on this EPA data

    and further analysis of population size and

    penetration rates it is estimated that less than

    10% of the pneumatic high-bleed controllerpopulation has been replaced with low-bleed

    pneumatic devices.

    According to the EPAs study, emissions from

    pneumatic controllers in the oil and gas sector

    account for 48 billion cubic feet of natural gas

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    emissions per annum.3 In the same study, the

    EPA also estimated that there were

    approximately 498,000 pneumatic controllers in

    the oil and gas sectors. This number includes

    high and low-bleed pneumatic controls.Additionally, using the EPAs estimate of total

    emissions and estimates of average emissions

    from each high-bleed controller (~140,000

    cf/year) and low-bleed controllers (~8,000

    cf/year) the total number of pneumatic

    controllers is estimated at closer to 525,650.

    Further, the U.S. EPA undertook a study in

    2002 that estimated that the ratio of high-bleed

    to low-bleed pneumatic controls in the oil and

    gas sector was 66% to 34%.4

    The study alsoimplied that the number of existing high-bleed

    pneumatics was diminishing at a very low rate;

    this is essentially because few replacements

    are occurring. These ratios, along with total

    population figures, imply that the total number

    of remaining high-bleed population in the United

    States is currently between 328,680 and

    346,930 controllers.

    Like the total number of pneumatic controllers,

    the number of retrofits/replacements that haveoccurred is equally difficult to determine

    precisely. However, data from the EPA and

    industry vendors and equipment suppliers

    suggest that the market penetration rate for

    high-bleed conversion in the production sector

    remains low.

    Since 1993, the EPA has run a voluntary

    program called Gas STAR to educate natural

    gas companies about opportunities to reduce

    emissions from their operations. There are over

    3USEnvironmentalProductionAgency(EPA),Lessons

    LearnedfromNaturalGasSTARPartners:Optionsfor

    ReducingMethaneEmissionsfromPneumaticDevicesin

    theNaturalGasIndustry,EPA430B03004,

    Washington,DC,July2003.4Moreinformationonthisstudymaybeaccessedby

    contactingtheEPAsNaturalGasSTARprogram.

    100 Gas STAR members, of which more than

    30 are natural gas production companies,

    including 21 of the 25 largest domestic

    producers. These members submit annual

    reports to Gas STAR describing the annualemission reduction projects completed during

    the year. According to the EPA data, members

    have reported replacing approximately 34,000

    high-bleed devices since 1990(this figure

    includes both transmission and distribution

    companies as well as production companies).

    Combining the above estimate of 328,680

    346,930 high-bleed controllers (in the oil and

    gas sectors) with the EPA figure that 34,000

    high-bleed conversions have occurred (in bothproduction and transmission sectors since

    1990) would suggest that the market

    penetration of low-bleed conversions in the

    industry is below 10%.

    This penetration rate is further supported by

    discussions with vendors. Though vendors do

    not track whether their low-bleed devices are

    sold for conversion projects or new installations,

    anecdotal evidence suggests that such

    replacement projects are uncommon. Vendorsurveys indicate that approximately 20,000

    devices have been retrofitted since 2000,

    implying a market penetration rate well below

    10% and natural conversion rate of less than

    1%.

    In summary, despite superior technology having

    been available in the market for 20 years, a

    very large number of high-bleed pneumatic

    controllers still exist. The rate of conversion of

    these controllers, either through the retirement

    of the equipment on which they operate, or

    through retrofits, is extremely slow. Anecdotal

    evidence from industry professionals and field

    operators indicates that there are a number of

    reasons for this slow natural rate of conversion,

    including lack of understanding of the new

    technology among field operators, a pervasive

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    if it aint broke, dont fix it attitude, scarcity of

    capital and human resources for non-core

    projects, and corporate budgeting practices that

    do not account for lifecycle efficiency costs.

    Additionally, operators are reluctant to act on

    emission reduction activities before there is a

    clear path forward on U.S. GHG regulations

    and law and are adopting a wait and see

    attitude.

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    3.0 QUANTIFICATION METHODOLOGY

    3.1 Baseline

    Emissions

    Quantification of project emission reductions

    will require baseline emissions and project

    emissions, which are calculated from emission

    factors derived through statistical sampling and

    analysis of the project proponents population of

    pneumatic controllers as follows:

    Within the project boundary, an emission factor

    for calculating baseline emissions will be

    developed from site-specific measurements

    using procedures outlined in Appendix C. Arepresentative sample, of not less than 30

    direct measurements, must be taken to

    estimate the average emissions of each

    manufacturers controllers to be converted in

    the project. As there is a statistically significant

    difference between the average emissions of

    different manufacturers controllers (Appendix

    A) sampling and emission factors should be

    manufacturer-specific. Using the data from the

    sample of measurements the lower bound 95%

    confidence interval for the average emissions

    will be used as the emission factor to calculate

    the baseline. By using the lower bound of the

    confidence level, the uncertainty around

    sampling is automatically discounted, thereby

    providing a conservative result.

    All measurements will be made using one of thetechniques described in Section 4.4

    Measurement Techniques.

    Calculation of the emission reductions for this

    methodology is based on an emission factor

    approach. The emissions calculations will be

    made according to the following approach:

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    (1)

    (2)

    (3)

    (4)

    Where:

    ETB = Total baseline emissions across all manufacturers (tonnes CO2e/yr)

    ETi = Total baseline emissions from the ith manufacturer (tonnes CO2e/yr)

    N = Number of manufacturers in the project assessment boundary

    ETis =Emissions from high-bleed controllers configured for snap-actingcontrol from the ith manufacturer for each identified piece of equipment

    ETit =Emissions from high-bleed controllers configured for throttle controlfrom the ith manufacturer for each identified piece of equipment

    EFi =Emission factor at 95% lower bound for the ith manufacturer (scfdproduced gas/controller)

    GC =

    Gas composition of methane in produced gas (mole fraction CH4). If arepresentative sample of GC data is used, this data should bediscounted by a margin-of-error analysis, which can follow the sameprocedure in Appendix B.

    CF =Conversion factor for methane volume to mass (0.00001926497tCH4/scf CH4)

    GWP = Methane global warming potential (21 tonnes CO2e/tonnes CH4)

    ATs,j =Actuation time of snap-acting controllers in basin or facility j(see 3.1.1below)

    OiTime

    ,s=

    Percent annual operating time for the ith manufacturers snap-actinghigh-bleed controller (operation hours/total hours per year)

    OiTime

    ,t=

    Percent annual operating time for the ith manufacturers throttle actinghigh-bleed controller (operation hours/total hours per year)

    3.1.1Calculatingtheactuationrateforsnapacting

    controllers

    An important concept with certain kinds of

    pneumatic controllers called snap-acting

    controllers is the actuation time (AT). When

    snap-acting controllers are operating and

    conducting their intended function, natural gas

    is run through the device and is thus not bled to

    the atmosphere. This period of functioning,

    when no bleeding occurs, is called actuation.

    Only in their inactive state are snap-acting

    controllers whether high-bleed or low-bleed bleeding gas. Most snap-acting controllers are

    inactive, and thus bleeding, the vast majority of

    the time (greater than 95%). However, the

    project proponent should still take into account

    the time the device is active and not bleeding

    gas, so this time can be discounted from overall

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    baseline emissions. For this methodology, the

    project proponent will develop a default

    actuation rate to apply to the snap-acting

    controllers in the project boundary. The default

    will be based on gathering data from allcontrollers to be retrofitted and should provide

    the most conservative result for each distinct

    facility included in the project boundary.

    For the production sector a basin-by-basin

    approach is necessary because the

    actuation rates are directly related to liquid

    production volumes and therefore tend not

    to vary much across a basin, but may differ

    significantly between different basins.

    For the transmission sector a facility byfacility (e.g. each compressor station) is

    necessary because actuation rates could

    vary significantly between facilities

    depending on where in the transmission

    process the facility is positioned.

    The project proponent will collect the following

    data to determine the default actuation rate for

    snap-acting controllers within a specific facility.

    The following data needs only to be collected

    for sites that utilize snap-acting controllers, andthis data can be collected at any time:

    Port Size. The project proponent will

    determine port size for the snap-acting

    control valves that are managed by the

    controllers to be retrofitted. Port size can

    be determined by physical inspection

    and should conform to manufacturers

    standard port sizes. For the purposes of

    determining the most conservative

    default actuation rate, the smallest portsize will be used as representative of

    the entire retrofit population. If the

    smallest size is used, this will be

    conservative because the smaller the

    port size, the longer the estimated

    actuation time would be. Because this

    time is deducted from the baseline

    emissions, the longer the time, the lower

    (and thus more conservative) the

    baseline will be.

    Differential Pressure. The project

    proponent will determine the lowest

    differential pressure (DP) across the

    snap-acting control valves within the

    population to be retrofitted. A common

    example of this is the pressure drop

    across a dump valve dumping from

    separator pressure down to storage tank

    pressure. Again, using the lowest

    determined DP in the population to be

    retrofitted will yield the most

    conservative result because lower DPresults in a decreased driving force for

    flow through the valves, resulting in a

    slower flow rate and decreased liquid

    capacity through the control valves;

    hence, longer actuation time.

    Liquid Capacity: The project proponent

    will determine the liquid capacity (LC)

    from the valve manufacturer using the

    lowest differential pressure (DP) and

    smallest port size. The manufacturer ofthe valve should provide the information

    (sometimes in a chart called the Liquid

    Capacity Chart) in its literature. LC

    should be expressed in barrels per day

    of water flow rate. By using barrels per

    day of water, and NOT correcting for oil

    gravity, the calculations will remain

    conservative since water is denser than

    oil and will result in slightly longer

    actuation times. As an example, a

    company may have a Kimray valvelocated in an area where the DP is 200

    psi and the port size is 1/4 inch.

    According to Kimray, in this case, the

    liquid capacity would be 650 barrels per

    day.

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    Barrels of Production per Controller

    (BPC): The project proponent will

    determine the 30-day average combined

    (oil or water) production per day for the

    well sites with controllers to beretrofitted. The 30-day averages will be

    added together to determine the total

    combined average volume per day per

    controller across all of the controllers to

    be retrofitted.

    Any controller for which 30 days worth

    of production data is not available

    should be excluded from the calculation

    of the actuation rate.

    The percentage of time the actuator isoperating daily (AT) and the snap-acting

    controller is NOT bleeding can be expressed

    as:

    ATs,j= (BPC / LC) where

    ATs,j= the default actuation rate in facility jfor

    snap-acting (s) controllers

    ATs,jis expressed as a percentage or fraction.

    Thus, the adjusted baseline bleed rate for a

    particular snap-acting controller in facility jwould be the bleed rate * (1-ATs,j). If ATs,jwere

    3%, that means that controller is bleeding 97

    percent of the time, and the adjusted baseline

    emissions would be 97% of the original

    baseline calculation.

    For pneumatic controllers in the transmission

    sector e.g., compressor scrubber dump valves,

    the actuation rate should be calculated by

    facility e.g., compressor station. The production

    rate and therefore the controllers actuation ratecould vary significantly between facilities

    depending on where the facility is located in the

    transmission network.

    3.1.2Thecaseofthrottlepneumaticcontrollers

    Calculating actuation times, as described

    above, is not necessary in the case of throttle

    controllers. With these types of controllers, the

    actuator is using a portion of the instrument

    supply gas and the remainder is bleeding

    through the high-bleed controller pilot, which

    provides intermediate valve travel and controls

    the process variable (such as level) at a steady

    point. Since the actuator is in continuous use,

    the atmospheric emissions consist of combined

    actuator vent gas and pilot bleed gas that

    cannot be delineated from each other. Throttle

    configured controllers are used in liquid service

    applications as well as gas service applications,such as flow control or pressure control. As with

    the snap-acting controllers, the bleed rate can

    be determined as described in Section 4.4.

    However, no discount for applying an actuation

    rate will be required. Thus, the variable ATs,jin

    equation (3) does not apply for throttle

    controllers.

    3.2 ProjectEmissions

    An emission factor for estimating project

    emissions will be developed from site-specific

    measurements taken before each annual GHG

    emission reduction verification activity. A

    sample of site-specific measurements will be

    performed, using procedures outline in

    Appendix C, to test the post-project emissions

    of 30 different converted controllers. Using the

    data from the 30 measurements, a t-test will be

    performed, and the emission factor will be

    selected as the upper boundary of the 95%

    confidence interval. By using the upper boundof the confidence interval, the uncertainty

    around sampling is automatically discounted,

    thereby providing a conservative result.

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    If a single technology has been used to retrofit

    or replace all devices, a single project emission

    factor can be developed. However, if a number

    of different low-bleed technologies are being

    used for the replacement, then a separate

    emission factor must be used for each low-

    bleed technology.

    The equation to determine project emissions is

    as follows:

    (9)

    (10)

    Where:

    ETP = Totalprojectemissionsacrossallmanufactures(tonnesCO2e/yr)

    EPi = Totalprojectemissionsfortheithmanufacturer(tonnesCO2e/yr)

    EFP =Calculatedemissionfactorat95%upperboundfortheithmanufacturer

    (scf/day)

    Ni = Totalnumberofcontrollersfromtheith

    manufacturer

    GWP =

    Methaneglobalwarmingpotential(21tonnesCO2e/tonneCH4)

    GC =

    Gascompositionofmethaneinproducedgas(molefractionCH4).Ifa

    representativesampleofGCdataisused,thisdatashouldbediscountedby

    amarginoferroranalysis,whichcanfollowthesameprocedureinAppendix

    B.

    CF

    = Conversion

    factor

    for

    methane

    volume

    to

    mass

    (0.00001926497

    tCH4/scf

    CH4)

    OiTime = Percentannualoperatingtimefortheithidentifiedpieceofequipment(%)

    Note: Actuation time is not included in project emissions. This is conservative

    because by not calculating the actuation time, project emissions are not discounted.

    Thus project emissions would be higher and the emission reductions lower.

    3.3 Leakage

    Leakage is defined as an increase in emissions

    outside the project boundary which is

    attributable to the implementation of the project.In cases where leakage occurs, it must be

    accounted for and subtracted from the overall

    emission reductions for the specific verification

    period.

    Project proponents should consider two types

    of leakage when determining if there is any

    leakage attributable to the project. These aresystem leakages and upset leakages,

    described as follows:

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    a) System Leakageis the estimate of

    fugitive emissions created elsewhere in

    the facility as a result of implementing

    the project. As operating practices at

    individual companies will vary, eachproject proponent will provide a

    conservative method for accounting for

    any material system leakage that could

    be reasonably expected from the

    project.

    b) Upset Leakageis the estimate of

    leakage due to an increase in upset

    conditions as a result of implementing

    the project. The project proponent

    should consider whether the project is

    likely to cause increased malfunctions of

    the pneumatic controllers and other

    components which would result in

    leakage. The project proponent will

    provide a conservative method for

    accounting for any material upset

    leakage that could be reasonably

    expected from the project.

    Alternatively, if the project proponent deems

    that there is neither material system nor upset

    leakage, the project proponent may support this

    assertion using qualitative and/or quantitative

    analysis.

    3.4 EmissionReductions

    Total emission reductions will be calculated as

    the difference between the baseline emissions

    and the project emissions.

    Emission reductions created by a project will becalculated according to the following equation:

    (11)

    Where:

    ERy = Emissionreductionsduringtheyeary(tonnesCO2e/yr)

    ETB,y = Baselineemissionsinyeary(tonnesCO2e/yr)

    ETP,y = Projectemissionsinyeary(tonnesCO2e/yr)

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    4.0 DATA COLLECTION AND MONITORING

    This section outlines procedures for data

    collection and monitoring. The section

    discusses instrument calibration and necessary

    parameters for monitoring.

    The process for keeping track of the emission

    reduction projects parameters includes:

    Identifying and logging high-bleed

    pneumatic controllers to be converted

    Following the instructions for calibrating

    measurement instruments Selection of the random sampling for the

    project emissions

    Oversight of project emissionsmeasurements, such as operating time,

    methane concentration, and bleed rates

    Recording project emissions data and

    calculating project emission factors

    The tables at the end of this section list the key

    parameters of the emission reductions

    calculation, and how each parameter should be

    recorded. All information for the project should

    be stored electronically and centrally in a single

    spreadsheet that is easily accessible for theproject validator and emission reduction

    verifiers.

    Table4.0:ExampleofPneumaticRetrofitProjectDatabase

    4.1 VerificationPeriod

    The verification period can be defined at the

    discretion of the project proponent, provided it

    conforms to ACRs guidelines on verification

    periods.

    4.2 BaselineEmissionsMeasurement

    The emission factors are the foundation of thebaseline emissions calculations. These

    baseline emission factors are proscribed by this

    methodology and are not directly relevant to

    defining the data collection and monitoring

    requirements associated with this methodology.

    Diligent count and record of the number and

    manufacturer of eligible controllers converted to

    low-bleed will be required for the methodologys

    implementation. The section below elaborates

    on necessary data collection for baselineconstruction.

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    # Parameter Procedure

    1 Number of controllers Project manager should keep a catalog of all of the controllersintended to be replaced by the project, including manufacturer andcontroller type. This database will be used for the selection of theproject group in subsequent GHG emission reductions verifications.

    2 Location Record of location of the pneumatic controller within the operationsinfrastructure is critical in order to account for the operational status ofthe equipment.

    3 Low-bleed pneumaticcontrollers

    Each converted pneumatic controller should be given a uniqueidentifying number that shows it to be a part of the project assessmentboundary. For each potential retrofit, the project proponent shouldconfirm that the retrofit has taken place.

    The project proponent is responsible for keeping track of whichretrofits have already been used in sampling and use controller andbasin data to select subsequent sample groups.

    Given that the major equipment to which the pneumatic controllers areassociated has operations which are monitored routinely; operatinghours for each low-bleed pneumatic controller will be recorded.

    Each controller should include a description of whether it is continuousbleed or interrupted bleed.

    4.3 ProjectEmissions

    Measurement

    4.3.1Selectionofverificationsamplinggroup

    Quantification of project emissions will require

    direct measurement of emissions. Direct

    measurement of emissions will be taken from a

    random and representative sample of 30 post-

    retrofit pneumatic controllers, and a project

    emission factor will be calculated for each

    verification period.

    4.3.2Identification

    of

    verification

    sampling

    group

    Once a controller has been selected for the

    verification sampling group, it should be noted

    in the data base that that the controller hasbeen selected. After the emissions test has

    been performed, the controller should have a

    durable identifier (e.g. documented GPS

    coordinates, unique identifier code, stamped

    metal tag) so that it is easily identifiable and will

    be found by the verifier or project manager in

    subsequent data quality QC spot-checks, GHG

    emission reduction spot-checks, or verification

    site visits. Finally, pneumatic controllers in the

    sample verification group should be excludedfrom the random selection for the subsequent

    verification, and then re-included in the pool

    thereafter.

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    4.3.3Dataanalysisandemissionfactorderivation

    foremissionfactorsamplinggroup

    The 30 data points will be used to determine

    the 95% confidence interval for the average

    emissions.5 The value at the upper bound of the

    95% confidence interval should be selected as

    a conservative measure.

    4.3.4Outliersintheverificationsamplegroup

    All the emissions from all controllers selected

    for the verification sample group should still be

    included in the sample mean calculation of the

    project emission factor. If a control is found to

    be bleeding gas at an abnormally high rate, the

    project proponent should determine if thereading is a typographical error or a

    measurement inaccuracy and take the

    necessary step to correct this reading.

    However, if the abnormally high reading is

    accurate it should still be included in the project

    emissions calculation. No outliers will be

    removed unless they are inaccurate

    measurements and cannot be rectified.

    4.3.5Ensuringconsistencyinbaselinesample

    measurements

    In order to ensure that emissions

    measurements are in accordance with normal

    operating parameters, pneumatic gas supply

    pressure for controllers within the snap-acting

    sample set must fall within manufacturers

    specifications. Controllers for which pneumatic

    gas supply pressure readings fall outside

    manufacturers specifications should be

    excluded from the sample set.

    5Duetothehighdegreeofcontrolonboththe

    calibrationoftheinstrumentsandtherandom,

    representativenatureofthesample,a95%upperbound

    isappropriateforthedevelopmentoftheproject

    emissionfactor.A95%intervalisinlinewithIPCCand

    UNFCCCCDMbestpracticeswhenarandomand

    representativesampleistaken.

    4.4 MEASUREMENTTECHNIQUES

    Measurement of emissions will be performed

    using one of the following techniques:

    4.4.1A

    high

    volume

    sampling

    tool

    This can include a Hi-Flow Sampler or

    comparable instrument which meets the

    instrumentation requirements as outlined below

    to the satisfaction of the verifier. Due to the low

    rate of gas flow of individual pneumatic

    controllers, a Hi-Flow Sampler is uniquely

    suited to accurately quantify flow rates from

    low-emissions (several hundred scfd) sources.

    The Hi-Flow Sampler operates by pulling

    emissions away from the leaking equipmentinto a centralized conduit for measurement,

    automatically correcting for the hydrocarbons in

    the ambient air that would otherwise contribute

    to the total leak rate measured.

    The Hi-Flow Sampler utilizes dual function

    catalytic oxidation/ thermal conductivity sensors

    to measure the rate of gas flow from the leak

    and ensure the accuracy of the measurement

    test. The Hi-Flow Sampler measures only

    combustible gases (methane, propane, butane,etc) and not inert gases like carbon dioxide and

    nitrogen. Therefore when correcting for gas

    composition in the afore-mentioned equations

    3, 4 and 10, the gas composition correction

    factor (GC) should be calculated as the volume

    of methane as a proportion of all combustible

    gases (methane, propane, butane etc).

    The following procedures should be followed in

    using the Hi-Flow Sampler to measure

    emissions: Calibration on instruments should be

    checked, at a minimum, according to the

    procedures and frequency outlined by the

    manufacturers of the Hi-Flow Sampler.

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    o For gas concentration,

    instrument should be calibrated

    using gas that has been

    provided by a certified vendor

    (Approved within 2%).o For catalytic oxidation, calibrate

    for 2.5% methane.

    o For thermal conductivity,

    calibrate for 99% methane.

    Measurements need only be taken

    once. The test should endure for a

    minimum of 5 minutes to ensure that the

    gas emissions are measured at a steady

    state.

    The leak flow rate of methane is calculated as

    follows:

    Where:

    FCH4,i =The leak flow rate of methane for leak ifrom the leaking component

    (scfm)Fsampler,i = The sample flow rate of methane for leak i(scfm)Csample,i = The concentration of methane in the sample flow from leak i(volumepercent)Cback,i = The concentration of methane in the background near the component(volume percent)

    4.4.2Inlineturbinemeters

    Another option for determining leak rates is the

    use of an in-line turbine meter. In this case, a

    meter is installed into the system as opposed to

    an external sniffing device like the Hi-Flow

    Sampler. The process works by shutting supply

    pressure off to the controller and isolating it

    from service. In most cases, there is a regulator

    line feeding the controller. The meter is installed

    downstream of the regulator output port by

    using inch tubing and fittings compatible with

    the regulator and the input port of the flow

    meter. Another inch length of tubing is

    installed from put the output port of the flowmeter to the input port of the control device

    being tested. This ensures the flow meter is

    installed upstream of the device.

    Before the retrofit from high-bleed to low-bleed,

    the system pressure is turned on, slowly

    allowing the controller to stabilize to its

    operating condition. The flow meter will register

    and record the flow of supply gas, which is

    being used by the controller. Once the test is

    completed, the inlet and outlet shutoff valvesare closed again, isolating the controller from

    supply pressure. After the retrofit program the

    same test procedure is performed on a different

    sample set. The difference between the pre-

    retrofit and post-retrofit measurements indicates

    the bleed savings opportunity. Once the testing

    is completed, the flow meter is uninstalled and

    the system is returned to its original

    configuration.

    All in-line turbine meters shall be calibratedaccording to the manufacturers specifications

    prior to measurement.

    4.4.3Calibratedbagging

    Calibrated bag measurements use anti-static

    bags of known volume (e.g. 0.085 m3or 0.227

    m3) with a neck shaped for easy sealing around

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    the vent. Measurement is made by timing the

    bag expansion to full capacity while also

    employing a technique to completely capture

    the leak while the inflation is being timed. The

    measurement is repeated on the same leaksource numerous times (at least 7, typically 7 to

    10 times) in order to ensure a representative

    average for the fill times (outliers or problem

    times should be omitted and the tests rerun

    until a representative average rate is

    established). The temperature of the gas is

    measured to allow correction of volume to

    standard conditions. Additionally, gas

    composition is measured to verify the

    proportion of methane in the vented gas, sincein some cases air may also be vented, resulting

    in a mixture of natural gas and air. Calibrated

    bags allow for reliable measurement of leak

    flow rates of more than 250 m3/h. The leak flow

    rate of methane is calculated as follows:

    FCH4,i=VbagxwsampleCH4,ix3600/taver,iWhere:

    FCH4,i =The leak flow rate of methane for leak ifrom the leaking component(m/h)

    Vbag = Volume of calibrated bag used for measurement (m)

    wsampleCH4,i =The concentration of methane in the sample flow from leak i(volumepercent)

    taver,i = Average bag fill time for leak i(seconds)

    4.5 DataandAnalysisforVerification

    Table 4.5 below details the data to be collectedor calculated.

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    Table4.5:DatatobeCollectedorCalculated

    Parameter Description Data Unit

    Calculated [c],Measured [m],Reference [r],

    Operatingrecords [o]

    Measurement

    frequency

    ETB Total annualemissions acrossall manufacturersin the baseline

    tCO2e [c] Calculated once In cases where only one brandETB= ETi

    ETi Total annualbaselineemissions fromthe from the i

    th

    manufacturer

    tCO2e [c] Calculated once

    N Number ofmanufacturers inthe projectassessmentboundary

    # [c] Calculated once

    TNi Total number ofcontrollers fromthe i

    th

    manufactureracross the project

    # [m] Logged at thebeginning of theproject. Changesand updates madeduring eachverification period.

    The total populations of each pneumatic controllers to be reinventoried by the project propbrand, and date of conversion recorded electronically and ce

    EFi Baseline emissionfactor at 95%lower bound for i

    th

    manufacturer

    scfd [c] Calculated once

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    6Foss,M.M.,InterstateNaturalGasQualitySpecificationsandInterchangeability,UniversityofTexasBureauofEconomicGeolog

    Parameter Description Data Unit

    Calculated [c],Measured [m],Reference [r],

    Operatingrecords [o]

    Measurementfrequency

    GC Gas compositionof methane

    % [m] Frequencydetermined by welloperator

    The methane composition of tcalculation element in estimatithe GHG emission reduction pconstituent of natural gas, andproduced in the U.S. is found tbe determined by gas chromatechnology. Depending on theSection 4.4), GC may represethe total gas composition or ofconcentration testing may occoperator according to the charparticular well. In this case, theanalysis will be used in baselin

    sampling approach is used, it error analysis, which can followProject proponent may also waStandards and Technology (N

    GWPCH4 Global warmingpotential of CH4

    21 [r] N/A 21 was determined in the 1996Report to be the Global WarmThird Annual Assessment Reppotential to be 23. Common indictated that 21 should be usemethane in the future.

    OiTime Operating hours ofthe productionequipment relatingto the pneumaticcontrollers

    % [o] [c] Data to be takenfrom operatingrecords ofcompany

    Hours of operation used to cacontrollers on operating equipm

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    Parameter Description Data Unit

    Calculated [c],Measured [m],Reference [r],

    Operatingrecords [o]

    Measurementfrequency

    ETP Total projectemissions acrossall manufactures

    tCO2e [c] Each validationperiod

    Note that in the event that onlyETP= EPi

    EPi Total annualproject emissionsfor the i

    th

    manufacturer

    tCO2e [c] Each validationperiod

    EFP Emission factor forthe project takenat the upperbound of the 95%confidence interval

    scfd [m] [c] Calculated foreach verificationperiod

    ETP Total annualemissions for theproject

    tCO2e [m] [c] Calculated foreach verificationperiod

    BPC Barrels of waterproduced percontroller

    Averagebarrels perday/controller

    [c] Once Can be measured at any time.period of time snap-acting con

    LC Liquid capacity Barrels perday ofwater flowrate

    [r] Once Can be measured at any time.period of time snap-acting con

    DP Differentialpressure

    Psi [r] Once Can be measured at any time.snap-acting controllers.

    Port size Port size ofcontroller

    Inches [r] Once Can be measured at any time.snap-acting controllers.

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    5.0 EMISSIONS OWNERSHIP AND QUALITY

    5.1 Statementof

    Direct

    Emissions

    The project proponent should attest that all

    emission reductions occur on the property

    owned and/or controlled by the project

    proponent and that none of the emissions

    claimed by the project are indirect emissions.

    5.2 Permanence

    Project proponents should demonstrate that the

    emissions reduced by the project are

    permanently reduced.

    5.3 Title

    Project proponents should provide evidence

    that they have title or contractual rights to the

    emission reductions claimed in the project

    document prior to ACR registration and that no

    other entity has a conflicting claim over the

    emission reduction claimed in the in the project

    document.

    5.4 Communityand

    Environmental

    Impacts

    It is unlikely that this particular type of project

    the simple replacement of controllers at various

    and remote oil-production locations wouldhave any significant environmental or social

    impacts. The retrofitting of controllers are not

    capital-intensive projects requiring any kind of

    environmental impact statement, and no new

    infrastructure is put in place. Retrofitting

    pneumatic controllers only replaces a tiny part

    of a large infrastructure already on the ground,

    with the environmental impacts having been

    incurred long before the retrofit project.

    If there are any significant impacts frompneumatic retrofits, however, project

    proponents should take into account ACRs

    Community and Environmental Impacts criteria

    when applying this methodology to specific

    projects. These criteria require analysis of any

    adverse environmental or social impacts on the

    communities near the project boundary. If there

    are any adverse environmental problems that

    may result from the project itself, project

    proponents should conduct stakeholder

    meetings with community groups or other

    appropriate NGOs to ensure that any concerns

    associated with the project are addressed.

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    6.0 QA/QC

    As part of the Pneumatic Conversion Protocol,the number of continuous high-bleed pneumatic

    controllers to be converted in the project will be

    monitored by the project proponent, with all

    pneumatic controllers that are converted being

    identified and numbered. As a QA/QC check on

    the retrofit of pneumatic controllers, purchasing

    invoice and shipping receipt information or

    other documentation from the low-/no-bleed

    pneumatic controller equipment supplier for the

    pneumatic controller conversions should be

    available. More details on the specific QA/QCactivities required by the Pneumatic Conversion

    Methodology are summarized in Table 7.1 in

    the following section.

    In addition, in order to ensure that controllers

    are retrofitted correctly and to minimize any

    chance of future upset conditions resulting

    from the retrofit, project proponents should

    review the manufacturers recommended retrofit

    procedures and the manufacturers

    recommended post-retrofit QA/QC checklist.

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    7.0 UNCERTAINTIES

    The emission reduction calculations in this

    methodology are designed to understand

    possible emissions, and to minimize the

    possibility of overestimation and over crediting

    of GHG emission reductions, due to various

    uncertainties, primarily associated with

    emission factors and representative sampling

    populations.

    Nonetheless, there are a number of

    uncertainties related to estimates of methane

    emission reductions from continuous high-bleed

    pneumatic controller conversion projects. Some

    of these uncertainties are more easily quantified

    than others. These sources and relative

    magnitude of uncertainties (and changes

    thereof) should be explicitly addressed and

    discussed by the project proponent as part of

    the GHG emissions calculation and reporting

    process, and described in the project document

    as part of the GHG emissions calculation and

    reporting process.

    These potential sources of uncertainty include

    but are not limited to: emission factors,

    methane gas composition, operating time,

    actuation time and conversion rates. Each of

    these potential sources of uncertainty, and the

    associated QA/QC program elements designedto minimize them is summarized in Table 7-1.

    Other factors as stated above (e.g. equipment

    overhaul frequency, instrument settings) have a

    bearing on uncertainty. Overall uncertainty can

    be assessed by using the uncertainties of each

    element in a calculation.

    The accuracy and precision of measurement

    equipment, such as the high flow meter and gas

    composition analyzer, are readily quantified and

    the uncertainties associated with eachmeasurement are considered to be quite low.

    The extrapolation of gas composition

    measurements to the total bleed rate of

    methane gas can introduce some uncertainty,

    depending upon the variability of the methane

    content of the gas (geographically and

    temporally) and the frequency of samples

    taken.

    Operating outages in the baseline and the

    project activity will be recorded, if and when

    they occur, though the contribution of this

    variation to the overall uncertainty is not

    expected to be large and conservative

    estimates of durations will be made.

    Table7.1:UncertaintiesintheReportedData

    Data ParameterUncertainty

    Level of DataQA/QC Procedures Risk Mitigation

    Emission Factors(EFi,Band EFP)

    Low/Medium EFi,B-Field instruments calibrated before use, statisticalanalyses at 95% confidence interval, and projectemission factor at lower bound

    EFP-Field instruments calibrated before use, statisticalanalyses at 95% confidence interval, and projectemission factor at upper bound

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    Data ParameterUncertainty

    Level of DataQA/QC Procedures Risk Mitigation

    Operating Parameters Low/Medium Supply Pressure Pneumatic gas supply pressure of

    controllers sampled for the purposes of determining the

    baseline and project emissions will be recorded at the

    time of sampling and must be within manufacturer

    recommended specifications

    Maintenance Conditions After retrofits have been

    completed, overhauls to correct upset conditions should

    be documented. Additionally, estimates of emissions

    resulting from the upset condition should also be

    recorded under Leakage as described in Section 3.3

    Instrument

    Parameters

    Low/Medium Actuation Rate Sampling must only be conducted

    when the controller is in a steady state and not actuating.Additionally, sample measurements need to be taken fora time period in excess of 5 minutes to ensurestabilization of the gas emissions and avoid any spikes

    Liquid levels and Proportional Band Controllers mustbe installed and configured to operate withinmanufacturers specifications e.g. within manufacturersspecified bands and levels

    Number of High andLow-Bleed Pneumatic

    Controllers (Ni,)

    Low Each replaced controller should be tagged with a durableunique identifier (e.g. stamped metal, GPS coordinates

    etc) capable of lasting several years and inspected infield, with count confirmed with equipment suppliersales/installation records

    Methane GasComposition (GC)

    Low Multiple measurements sources; historicaltract/field/reservoir/basin/compressor station data forvalidation

    Operating Time(OiTime)

    Low Project entity maintains detailed and continuousinformation on the operation of the equipment

    Actuation time forsnap-acting controllers

    (AT)

    Low AT is calculated with data that should be available to alloil companies, including port size of the controllers to be

    retrofitted, the differential pressure and barrels ofproduction. All are basic data parameters that wouldeither be available centrally or by observing in the field.Liquid capacity is provided by the manufacturer of thevalves.

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    APPENDIX A

    This annex presents a summary of the data, summarized in Table A.1, used to prove that there are

    statistically significant differences associated with manufacturer design differences in continuous high-

    bleed pneumatic controllers. This observation is also confirmed in the vendor literature for low-/no-

    bleed pneumatic controllers.7 Based on that, as part of the statistical analysis of the baseline sampling

    test data, stratified data sets (by manufacturer) were also evaluated.

    Table A.18: High-Bleed Pneumatic Controller Emissions Data Summary

    7Wellmark,MizerPilotControl,ContinuousBleedControllersLostGas.www.wellmarkco.com

    8TableA1summarizesthehighbleedemissionsdatapointstakefromthemeasurementof35Cemco(18)andInvalco(17)controllers.

    Datawasprovidedbytwo(2)oilandgasproductioncompaniesandthelow/nobleedpneumaticcontrollermanufacturer,withsampling

    measurementstakenbytheirfieldtechniciansfortwodifferentoilandgascompaniesrepresenting8differentproductionfieldsin4

    states.

    Manufacturer Model Baseline Bleed Rate, scfd Data Source

    Cemco 6900 367.0 Producer 3

    Wellmark/Cemco 6900 432.0 Producer 3

    Cemco 6900 528.0 Producer 3

    Cemco 6900 732.0 Producer 3

    Cemco -- 463.2 Producer 3

    Cemco 6900 @ 25 psi 576 Producer 3

    Cemco 6900 @ 35 psi 696 Producer 3

    Cemco 6900 535.2 Producer 3

    Cemco 6900 726.7 Producer 2

    Cemco 6900 851.5 Producer 2

    Cemco Snap-acting 401.3 Producer 1

    Cemco Throttle 386.0 Producer 1

    Cemco Throttle w/ snap head 441.9 Producer 1

    Cemco Throttle w/ snap head 355.6 Producer 1

    Cemco Snap-acting 401.3 Producer 1

    Cemco Snap-acting 447.0 Producer 1

    Cemco Throttle w/ snap head 441.9 Producer 1

    Cemco Throttle w/ snap head 406.4 Producer 1

    Invalco Throttling 518.1 Producer 1

    Invalco Snap-acting 274.3 Producer 1

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    Statistically Significant Difference between Average Emissions for Cemco and Invalco

    The sample average for Cemco controllers was

    511 scfd and the sample average for Invalco

    controllers was 629 scfd. Given that the

    emissions from the different manufacturers are

    different, it becomes imperative to assess if

    there is a statically significant difference

    between the emissions from Cemco controllers

    and Invalco controllers.

    If there is a statistically significant

    difference in the sample means then it

    indicates that the differences between the

    sample means is not due to chance, but

    rather due to real differences in controllers,

    e.g. design. The implication of this is that

    baseline sampling must be carried out for

    each controller manufacturer

    independently (i.e. 30 samples of Cemco

    controllers and 30 samples of Invalco

    controllers).

    If however, there is not a significant

    difference between sample means, then it

    indicates that the difference between the

    sample means is likely due to chance and

    not as a result of real differences. Therefore

    the Cemco and Invalco controllers can be

    considered as one population from a

    baseline estimation point of view (i.e. 30

    samples of controllers).

    Analysis: To assess statistical significance a

    two sample ttest for independent samples was

    conducted. Assuming unequal variances,

    tcalculated = 1.76 with a p-value = .091. This p-

    value is less than the significance level of .10

    which leads to the conclusion that there is a

    statistically significant difference between the

    Cemco and Invalco average emissions.

    Manufacturer Model Baseline Bleed Rate, scfd Data Source

    Invalco CTS-215 655.0 EPA

    Invalco CTU-215 1052.2 Producer 2

    Invalco CTU-415 597.6 Producer 3Invalco CTU-415 559.2 Producer 3

    Invalco CTU-415 415.2 Producer 3

    Invalco CTU-415 636.0 Producer 3

    Invalco CTU-215 744.0 Producer 3

    Invalco CTU-215 540.0 Producer 3

    Invalco CTU-215 285.0 Producer 3

    Invalco CTU-215 984.0 Producer 3

    Invalco CTU-215 1034.0 Producer 3

    Invalco CTU-215 712.0 Producer 3

    Invalco CTU-215 657.0 Producer 3

    Invalco CTU-215 703.0 Producer 3

    Invalco CTU-215 324.0 Producer 3

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    In other words, the difference in sample means

    is notdue to chance but is the result of real

    differences in the controllers. Therefore the

    standard baseline emission factors for high-

    bleed controls cannot be directly appliedwithout manufacturer specific measurement

    data and the project proponent must sample

    different manufacturers controllers as separate

    populations.

    Estimating the Average Emissions for

    Cemco and Invalco

    Table A.2 summarizes the results of the

    confidence interval calculations for the

    individual manufacturers. Margins of error and

    confidence intervals were calculated using the

    standard method assuming a normal population

    distribution and an unknown population

    variance. See Appendix B for a detailed

    explanation of confidence interval calculation

    methods. The resulting values are summarized

    in the table below.

    Table A.2: 95% Confidence intervals for mean emissions of Cemco and Invalco controllers

    Mean Value (scfd) Stdev Margin of Error Lower Bound Upper Bound

    Cemco 511 147 73 437 584

    Invalco 629 238 122 507 751

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    APPENDIX B

    This appendix defines the procedure for

    calculating an interval estimate for thepopulation mean, . Because it is rarely

    possible to take a census of a population of

    items, we must rely on the results of a sample

    data set to estimate the mean of a population.

    The interval estimate is called a confidence

    interval. The typical form of any confidence

    interval is to add and subtract a margin of error

    from a sample statistic.

    When estimating a population mean, the

    sample statistic used is the sample mean, .

    The margin of error of any interval estimate is

    dependent on three factors: the level of

    confidence chosen by the analyst, the variation

    within the population, and the size of the

    sample used for estimation.

    The formula for calculating a confidence interval

    for is:

    (1)

    where is the margin of error, tis the

    statistic used to guarantee the confidence of the

    estimate, sis the sample standard deviation,

    and nis the sample size. The margin of error of

    any interval estimate is dependent on these

    three values.

    The order in which one proceeds in the

    estimation process is the following:

    Choose a confidence level. Typically, the

    confidence level used is 95%. By choosing

    a higher confidence one would be

    increasing the margin of error, all things

    being equal. By choosing a lower

    confidence one would decrease the margin

    of error, all things being equal. In other

    words, greater confidence leads to wider

    intervals, lesser confidence leads to more

    narrow intervals. Determine the appropriate sample size.

    The size of the sample should be

    determined by the precision level

    desired (expressed as the margin of

    error) and confidence level desired and

    will be dependent on the amount of

    variation in the population. Depending

    on how these three factors change, the

    appropriate sample size could go up or

    down. For example, we can use thesample standard deviation calculated

    from the Invalco data in App A (s= 238

    scfd) as an estimate of the population

    variation. If we choose a confidence

    level of 95%, and choose a margin of

    error of 100 scfd, the appropriate

    sample size would be n= 22. If one

    were to use a larger sample size, the

    margin of error would be less than 100

    scfd, as long as the population variation

    has not increased.

    Collect the sample and calculate the

    sample mean, and the sample

    standard deviation, s.

    Determine the value of t, the statistic

    matched to the desired confidence level.

    For example, if using a sample size of

    30 and a desired confidence level of

    95%, the tstatistic value is 2.045. The

    value of the tstatistic is based on a

    parameter called degrees of freedomwhere df= n 1. The tstatistic value

    can be found on any standard Students

    ttable of critical values.

    Calculate the confidence interval limits

    using formula (1).

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    Example calculations: Refer back to the sample

    data provided for the baseline emissions of the

    Cemco and Invalco controllers shown in

    Appendix A. A confidence level of 95% was

    used in the calculations. There are many off-

    the-shelf statistical software packages that will

    perform these routine calculations with the

    appropriate sample data input on a

    spreadsheet.

    Manufacturer Cemco Invalco

    Sample size, n 18 17

    Sample mean, 510.5 628.9

    Sample Std Dev, s 147.2 237.9

    tstatistic 2.110 2.120

    Margin of Error 73.2 122.3

    95% Confidence Interval (437 to 584) (507 to 751)

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    APPENDIX C

    This appendix defines the procedure forsampling emissions during the estimation of the

    baseline and project emissions. The project

    proponent will take direct measurements, using

    measurement techniques outlined in Section

    4.4 above, from a sample of a minimum of 30

    pneumatic controllers that are correctly installed

    and operating under manufacturers

    recommended guidelines. In addition to

    emissions measurements the project proponent

    will also collect the following information at the

    time of measurement:

    Unique controller identifier

    Supply pressure across the controller

    Port size (snap-actuating only)

    In addition to the data collection, the project

    proponent will, at the time of sampling, do the

    following:

    Visual observation of correct installationof the pneumatic controller

    Observed successful operation of the

    controller, which might require physically

    triggering the controller

    Additionally, the project proponent may choose

    to increase the size of the sample

    measurements to a number greater than 30. By

    doing this the project proponent will get a more

    accurate estimate of the population average

    emissions and a smaller margin of error at the95% confidence level, which could mean a

    higher lower bound for the baseline emissions

    estimate and a lower upper bound for the

    project emissions estimate and therefore

    potentially a greater net overall emission

    reduction value. This is illustrated in Appendix B

    and by the following table.

    Sample size (n) Minimum size: 30 Greater than 30 (e.g. 50)

    Degrees of Freedom (n-1) 29 49

    t statistic at 95% confidence level 2.045 2.012

    Margin of error formula

    Margin of error 0.373 S30 0.284 S50

    S30is the standard deviation of a random set of 30 emissions measurements and S50is the standard

    deviation of a random set of 50 emissions measurements. Typically, S50> S30due to the larger samplesize and therefore the margin of error for the 50 random sample will be less than that for the random

    sample of 30 measurements.